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Coronavirus impacting study abroad programs, local economy

Posted on February 26, 2020

Grand Valley's Padnos International Center has canceled this
semester's study abroad programs in South Korea due to COVID-19
(coronavirus) and asked one student currently there to return to the
U.S. soon.

Michael Vrooman, interim chief international officer, said there are
not any faculty-led programs to China, Italy, Japan or South Korea
planned for the spring/summer semester.

Earlier in February, PIC suspended its programs to China for the
winter and spring/summer semesters. One student had planned to go to
China and found an alternative program.

PIC staff members have connected with students who are abroad
regarding precautions they should take if they are in a country where
a virus outbreak has been reported. PIC also continues to monitor
updates from the Centers for Disease Control and travel advisories
from the U.S. Department of State.

Grand Valley Family Health Center and the Metro Health Campus Health
Center have implemented additional screening for anyone who has
recently traveled internationally. Students who are worried about
family or friends abroad can connect with staff members at the University Counseling
Center; faculty and staff members can contact Encompass,
the employee assistance program.

The worldwide spread of the virus is also affecting the West Michigan
economy, specifically the transportation and manufacturing sectors.

Paul Isely, associate dean and professor of economics in the Seidman
College of Business, said West Michigan has already been experiencing
a slowdown in manufacturing because of trade tensions, and
effects from the coronavirus will cause that slowdown to accelerate.

"About 50 percent of the supply chain going to China has really
slowed down or gone away," said Isely. "We will continue to
see manufacturing slow down and that will start bleeding out into the
rest of the economy."

Isely said in another three or four weeks, U.S factories will start
using up their backlog of parts and that will mean more closings or
reduced shifts, which will impact production.

"As we get another four weeks out, if we still have travel bans,
it will really start to bite," said Isely. "We are starting
to see disruptions in Europe and South Korea, which have very strong
ties to the U.S. economy."

Sonja Johnson, executive director of the Van Andel Global Trade
Center, said many local manufacturers are experiencing a slow startup
throughout direct and indirect supply chains because suppliers are not
yet at full capacity as workers are unable to return to work.

Others report that suppliers returning to work are only at 30 percent
capacity as they struggle to get products picked up and shipped due to
a lack of drivers, containment and quarantine zones.

For markets dependent on products from China, Johnson said local
manufacturers expect shortages in the supply chain, especially for
those that do not have safety stock.

Johnson and Isely were guests on WGVU
West Michigan Week, discussing the effects of the virus on the
local economy.